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The labour market in September 2017

The use of autumn is stronger than usual
29 Sep 2017 | Press Release No. 20

"The labour market continues to develop very positively. As a result of the onset of autumn, unemployment decreased more than usual in September. Employment continues to grow and the demand for new employees is growing strongly this month, "said the CEO of the Federal Employment Agency (BA), Detlef Scheele, today at the monthly press conference in Nuremberg.

Unemployment rate in September:

-96,000 to 2,449,000

Number of unemployed compared to the previous year:

159,000

Unemployment rate compared to the previous month:

-0.2 percentage points on 5.5 percent

Unemployment, underemployment and inactivity

As a result of the onset of autumn, the number of unemployed fell by 96,000 to 2,449,000 from August to September. The decline was more pronounced than usual. As a result, unemployment has also declined by around 23,000 compared to the previous month. Compared to the previous year, 159,000 fewer people were registered as unemployed.

Underemployment, which also includes people in workloads which are relieving labour market policies and short-term incapacity for work, has declined by 20,000 seasonally adjusted. The total of under-employed in September 2017 was 3,406,000 People. That was 118,000 less than a year ago. Thus, it fell less sharply than the unemployment in the previous year. This is caused by extending the labour market policies, especially for refugees, which was not the case during the previous year.

The unemployment rate determined by the Federal Statistical Office according to the ILO acquisition concept amounted to 1.60 million in August and the unemployment rate to 3.7 percent.

Gainful employment and employment subject to social security insurance

Gainful employment and employment subject to social security insurance continued to grow strongly, compared with the previous year. According to the Federal Statistical Office, in the month of August, the seasonally adjusted number of gainfully employed persons (using the domestic concept)  rose by 64,000, compared to the previous month. With 44.50million people, it was 692,000 higher than in the previous year. The increase is mainly due to more jobs subject to social security insurance. This has increased by a seasonally adjusted figure of 57,000 from June to July, according to the BA. Overall in July, according to extrapolated data, 32.15 Million people were employed under social insurance. This number was 888,000 more than the previous year. It should be noted that the increase is overshadowed by the fact that the previous year's value is estimated to be 120,000 due to data processing errors.

Labour Demand

Demand for labour continues to grow at a consistently high level. In September 773,000 jobs were registered with the BA, 86,000 more than a year ago. On a seasonal basis, demand rose by 11,000 compared to the previous month. The BA (BA-X) employment index - an indicator of the demand for labour in Germany - rose by 4 points in September 2017 to 244 points. The previous year's figure is still very clear, with a plus of 24 points.

Cash Payments

A total of 684,000 persons received unemployment benefits in September 2017, 42,000 less than a year ago. The number of persons eligible for benefits in the basic job for jobseekers (SGB II) stood at 4,337,000 in September. Compared to September2016 this was an increase of 31,000 persons. 8.0 percent of the working-age population in Germany was therefore in need of help.